Canada

Marc Garneau wants tax credits

Liberal MP Marc Garneau speaks about the government's omnibus budget bill in the Foyer of the House of Commons on Parliament Hill in Ottawa, Thursday May 10, 2012. THE CANADIAN PRESS/Adrian Wyld

Liberal leadership hopeful Marc Garneau positioned himself Wednesday as a business-savvy candidate with a package of focused tax credits and cuts he says are needed to help the Canadian economy reach its full potential.

Garneau unveiled a policy-heavy economic platform that says Ottawa needs to steel itself in the face of global competition by tightening tax measures that boost innovation and tackle structural weaknesses in the economy.

"Through innovation, creativity and leadership we can build the progressive society we all seek," he said.

The Montreal MP told a group of business leaders in Toronto that capital gains taxes should be eliminated for Canadian entrepreneurs, while payroll taxes should be axed for small and mid-sized businesses that invest in employee training.

"Instead of more government handouts, let's eliminate all capital gains tax on investments in Canadian start-ups," he said.

His plan would also use payroll tax steps to reduce youth unemployment, and get the federal government in the business of making student-like loans to help new Canadians have their foreign credentials recognized.

He said the government should also set up co-op placements to help foreign-trained workers.

"This will get their foot in the door and a solid line in their resumes for the next time, hopefully to get them permanent jobs," he said.